Case Study The Springfield Nor’easters: Maximizing Revenues in the Minor Leagues
- Analyze the marketing environment Nor’easters faces in Springfield. Which aspects of the marketing environment make you feel that Nor’easters can succeed in Springfield?
The very first one is the increase in the marketing expenses in selling of the tickets. The establishment of new theaters and the sport industry is new to him. The prices of the tickers are feasible for the organization however; it is not possible to increase the revenue. The reason is that income of the people in Springfield is not increasing from the last few decades. Due to the economic recession, overall business of Nor’easter effects along with marketing strategies. They are not able to play even a single game. The focus of the administration is on the increasing the sale of the tickets for the games. For this purpose, they have to pay attention to attract the customers and the audience. Effective advertisement helps the business to attract potential and existing customers. Therefore, the promotional activities are necessary. In case of the Nor’easters, there is lack of the promotional activities in order to attract the customers. Due to this reason, the organization also has to face the reduction in the revenues. The performance in games is also acceptable.
The city of Springfield was diverse and vibrant in the manufacturing. By the year 2008, the city lost many higher-wage-earning residents. This leads the city to drop in the wages and the incomes of the people. Due to this reduction and drop, the overall economy and incomes of the people affects. The lack of the spending of people makes them hard to buy the tickets to go for the entertainment. At this stage, organization had to review its pricing strategies especially in context of the change in market. For the new comers and the working class city, the high prices or the expensive entertainment is useless. They prefer to save money for bad time. Therefore, Nor’easters has to face decline in supporters, audience and also in the funds rising from the games. In addition, the neighboring country is also the home to world-class teams such as hockey, football and baseball. These attract the people from surrounding areas.
- What do you consider the key findings of the survey research? Why?
The professional sporting events help to support students in the colleges due to the high tickets. However, the lack of the transportation and the high tickets effects negatively for the students to become the sport man or take part in various events. There is need for the organization to redesign its ticket offers to attract existing and potential people and students from the educational institutes to take part as the team players and as audience. On the other hand, the requirement of the Buckingham was to utilize the data of the survey that was three year old. The difference between them is the base for the change. The results are important to analyze before making any final decision. The decision making process is not an easy task for the management. The marketing conditions and the change in the market are also necessary to consider. The change is also necessary in the structure and the environment of the organization in order to get desire results.
The offerings to the teams will accord the local market. The proper facilities to the professional teams are necessary. This is the way to attract the audience and customers to buy the high cost tickets for the games and the events. In addition, this will also help to develop attraction among college students to enter in sports and games. This will be more effective for Nor’easters in Springfield. In addition, the objectives of the research must be clear and actionable. The realistic objectives help the organization to market its project and achieve the goals. The marketing is very important for the success of the project. The marketing research includes the analysis of the customers behaviors, new trends in market, pricing of the tickets, improve transportation means, SWOT of the internal and external environment of the city as well as organization.
- Based on the results of the survey research, what ticket price (per ticket) you would set for the single ticket, the 5-ticket package, the half-season ticket package, and the season ticket package?
Team president and the General Manager realize that the research survey was difficult. There is need to develop the team and tries to solve the issues of the operations, government relations and the finance. The most important one is to resolve the financial issues for the teams. On the other hand, fixed price of the tickets are not feasible for the organization. There is need to introduce the new packages including the discount packages for the tickets. The seasonal tickets, discount offers to the institutes and the families, the entertainment, discounts to the frequent customers helps to gain the desire results. Clarity of the questions, management decisions and ease of the data analysis is important for the organization and the management to run the operations of the team. However, the idea was not feasible according to the management. The reason is the time that will consume on the project and the research survey.
The good idea is to offer discount on the 5-ticket package for the families or friends. Half season package for the different communities and single ticket on some especial events. This is important for the management to offer discount and various ticket packages for the audience and the customers. Hence, the special exercises are important. In the event of the Nor’easters, there is absence of the special exercises keeping in mind the end goal to pull in the clients. Because of this reason, the association additionally needs to confront the lessening in the incomes. The contrast between them is the base for the change. The outcomes are imperative to break down before settling on any official choice. The basic leadership procedure is not a simple undertaking for the administration. In addition, there is also important to review the salaries of the players and teams to make them motivate for good performance.
This is better to come up with penetration pricing strategy in order to serve the customers in competitive market. The management is intending to come up with $ 40 price for one ticket for one individual. The purpose of low prices is to let immense audience to come in grounds and watch matches, as it will help them to increase their revenues.
In addition, the five ticket family package will be available for customers at $150. This is to mention that these ticket prices can be modified or converted according to season. The strategy is to come up with low prices in seasons to covert audience and attract them towards quality games. Interestingly, low prices of these tickets for customers will increase revenues are customers use to watch matches at home due to expense tickets. The most important thing is to be more profitable, which is based in penetration pricing strategy for customers in the season.